Hello,
Thank you for bringing up this question. As per the judgment in the Karnataka High Court, the period of service by an employee as a daily wage worker is indeed considered when calculating the gratuity amount. This ruling is significant as it acknowledges the services of the employees even before their employment was regularized.
Here's a step-by-step guide on how this would affect the computation of gratuity:
1. 👁️ Identify the total period of service: This will now include both the period of service as a daily wage worker as well as the period after the employment was regularized.
2. 👁️ Calculate the last drawn salary: This includes the basic salary and the dearness allowance (if any).
3. 👁️ Apply the gratuity formula: Gratuity = [(Basic Salary + Dearness Allowance) x 15/26] x Number of completed years of service.
In your case, the 'Number of completed years of service' will include the period of service as a daily wage worker.
Please note that this ruling may currently be applicable for government employees in Karnataka. If you are from a different state or a non-government sector, I would recommend consulting with a labor law expert or the HR department in your organization for accurate information.
💼 Remember, it's essential to keep updated with such legal precedents as they can have a significant impact on employee rights and benefits.
Lastly, it's also crucial to remember that gratuity is a statutory right of an employee under the Payment of Gratuity Act, 1972, provided they have served for a minimum period of five years.
I hope this explanation provides clarity on your query. If you have further questions, feel free to ask.